Diwakar Rao

Looking forward to diving into the state of the late-stage venture market at TechCrunch Disrupt next week with Karthik Subramanian. With late-stage companies facing tougher paths to exit, we’ll be debating whether the market is actually rebounding, sharing our thoughts on the outlook for future IPOs, and discussing how founders can navigate these shifting dynamics. Hope to see you there! #TCDisrupt #VC

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I had a lot of fun recording a podcast episode with Shiva Singh Sangwan. We discussed the evolution of Humba Ventures & Susa Ventures; tips for raising and building a fund; how to improve investment sourcing & picking; the role of luck in investing, and so on. https://lnkd.in/eiqsStej

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I recently had the pleasure of joining the ChangeJar team for a podcast as part of their #jarexchange series. During the discussion, we touched upon an insightful comparison between the US and Indian VC ecosystems. A fascinating look into the world of venture capital. #venturecapital #india Jar

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Venture capital exists to capitalize and create hallmark entrepreneurial business building stories, and this one, from Eric Tarczynski, Founder of Contrary, one of the earliest investors in Indian commerce start-up Zepto, is one of those outstanding stories and a must-read below! The growth and progress of this Indian start-up are truly remarkable, especially given it was only founded in 2021! Zepto recently raised $665 million in a new round of funding, more than doubling its valuation to $3.6 billion from $1.4 billion in less than a year, as the #Mumbai-based startup doubles down on its efforts to capture the contested quick commerce market in #India. US-based Glade Brook Capital Partners LLC, Nexus Venture Partners and StepStone Group co-led the “highly-oversubscribed” Series F round. Avenir, Lightspeed India and Avra (former Y Combinator Continuity exec Anu Hariharan’s new fund) as well as existing backers Goodwater, Lachy Groom and Contrary followed. It is clear that US investors are still active and keen on the India start-up market. The startup said its revenue has risen 140% from a year earlier, and its annualized gross merchandise value (GMV) is on track to exceed $1 billion. It works with more than 50,000 delivery partners and is adding over 5,000 delivery partners each month. The company said about 75% of its dark stores were EBITDA positive as of last month. Congratulations Eric Tarczynski and the Zepto Team! #fundraising #indianmarket #venturecapital #earlystage #indianentrepreneeurs #capitalmarkets #highgrowth #unicorns #seed

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The lower-middle market of private equity is our favorite segment of private markets and in tracking Lighthouse Funds India, this fund manager is demonstrating investments and exits akin to established middle market fund managers in the US. Congratulations on the successful full exit of Poly Medicure Ltd, India’s leading #medical device #manufacturer, in an open market transaction on India's National Stock Exchange of India Limited (NSE India)! Similarly to our favorite and most successful middle market fund managers in the US (particularly in #chicago), Lighthouse Funds India has taken a measured and disciplined approach to building out a team, retention and incentivization (sharing the carried interest), and fund sizing that applies a proven recipe in the US to the India market, with now 4 funds raised by the firm since 2007 inception, including most recently Fund IV in 2024, multiple full and partial exits in their Fund III, and the demonstrated ability to tap into liquidity for LPs via #ipos, M&A and secondary share sales. Overall, investment exits and value creation in the India private equity continue to materialize for those fund managers who have been able to endure the capital markets, political, and market nascency cycles over the past 2 decades, and now it is clear India has an established set of private markets players in position to create attractive net returns for global limited partners going forward - with demonstrated multiple exit paths. And it seems Lighthouse Funds India also just had a partial exit of another investment in their vintage 2018 Fund III. More to come on that later. Exits at attractive values to LPs via multiple avenues are one of the primary characteristics of distinction for best-in-class private markets fund managers and Lighthouse Funds India are demonstrating their winning traits! Definitely worth tracking this manager! #middlemarket #privatemarkets #indianeconomy #exits #valuecreation #secondaries #publiccompanies #publicmarkets #tradesales #acquisitions #liquidity #capitalmarkets #consumer #healthcare #retention #employeeequity #economics #sharing #noegos https://lnkd.in/gg42PnBJ

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The Information just broke the news of the incredible $8B+ #fundraising haul, with General Catalyst nearly doubling its last total. Fund breakdowns include $4.5B for "core venture funds," $1.5B for their "core creation team," and $2B for "multiple accounts." This was a 33% oversubscription to their $6B fundraising target, which surfaced in April 2024 by the Financial Times. While this is great news for the #entrepreneurial founders, the key question /challenge for General Catalyst will be where to place the newly closed funds to deliver the returns expected by their #limitedpartners that entrust them with their hard-earned capital. What do you think? #management #venturecapital #privateequity #capitalmarkets

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The secondary market opportunity in Asia Pacific is large with significant potential. As PE/VC investment activity increases in markets like India, that bodes well for secondary market opportunities across both GP led continuation funds as well as LP portfolio. #privateequity #venturecapital #secondaries #investing #Asiapacific #India Bloomberg

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Tech of today was at some point of time considered as DeepTech. This evolution happens gradually, powered by visionary innovators and supportive investors who pave the way forward. Today, India stands in a unique position—not only to drive groundbreaking innovation and attract top talent but to do so at a significantly lower cost than in other markets. At Aeravti Ventures, we are continuously inspired by the innovation potential of the Indian founders and are thrilled to be at the forefront of it. Below is the link of the The Economic Times article in collaboration with Ankit K. of Capital-A https://lnkd.in/gPhJ3pyk

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Really interesting question. Can it be done? Does the outdoor industry need it? Clearly some of the largest retailers have struggled with maintaining the correct amount of the right inventory and teams that are helpful and knowledgeable. But building a logistical beast such as Amazon is complex. Cheryl Stark any perspective?

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As private markets secondary strategies increasingly raise and deploy capital globally, India, one of the larger and more liquid markets, with increasing foreign and domestic private market interest, is primed for secondary market investments from global, Asian-regional and what I see as more India-focused secondary fund managers, across venture capital through private equity. GP-led deals have also increased, with global players such as Pantheon, Neuberger Berman, StepStone Group, HarbourVest Partners, Adams Street Partners, CF Private Equity, Schroders Capital, AlpInvest Partners all executing or evaluating India deals. That being said, we are still seeing challenges in liquidating positions with many of the India funds raised between 2005 and 2011, where performance as well as heavy currency devaluation have impacted saleability. Who are the players you see active in the LP secondary market in India? Who will raise India-focused secondary funds for VC and PE? I would look forward to reconnecting with leading India-focused capital markets advisor Avendus. The growth and development of the India private capital markets opportunity is nothing short of remarkable. #india #alternativeassets #secondaries #privatemarkets #privateequity #venturecapital #Asia #capitalmarkets #fundmanagers #liquidity #distributions #institutionalinvestors

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Can't wait to reconnect with the brilliant Amanda Herson and join the discussion with Maciek Gnutek and Iain Martin at Slush about our fund models and what they mean for Founders ❄ 🚀

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We had a long and very informative M&A panel session yesterday at ITServe Alliance. Sharing some tips here- 𝐓𝐢𝐩𝐬 𝐭𝐨 𝐛𝐮𝐲𝐢𝐧𝐠 𝐚 𝐜𝐨𝐦𝐩𝐚𝐧𝐲 1) Always buy companies, with a perspective to sell it to your dream buyers 2) Buy a growing company. Companies that are growing YOY, and their last three years are above industry benchmarks 3) Know your white space. It can be around clients you want to acquire, Geos you want to enter, Industries you want to deepen, Products you want to launch, etc 4) Buy companies that share common values like yours. Values around accountability, professionalism, etc. 5) Look for synergies with the target in terms of ticket size, sales engine, client focus, offerings, etc. 6) Meet with the promoters over coffee and learn each other goals 𝐀𝐬𝐬𝐞𝐬𝐬𝐢𝐧𝐠 𝐚 𝐜𝐨𝐦𝐩𝐚𝐧𝐲 1) Look at management team and assess the maturity and experience they bring on the table 2) Look at the quality of their sales team to assess is the company founder dependent or Sales team dependent 3) Do a third party survey of clients to see their reputation among the clients 4) Assess their quality of earnings. How much revenue comes from their core business 𝐏𝐨𝐬𝐭 𝐀𝐜𝐪𝐮𝐢𝐬𝐢𝐭𝐢𝐨𝐧 𝐓𝐢𝐩𝐬 1) Integrate fast and communicate openly with the target companies team members 2) Do Townhalls and show your vision and get them excited about joining you all 3) If you are not retaining the employees, let them know the reason and give you enough runway for them to find new opportunities Thanks George, Derek Bullen, Kranti Ponnam, Bal Joshi, Martin Borosko, PK Ram for being such a wonderful panelist Thanks Venu Sangani for organising this!

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Looking forward to meeting women entrepreneurs who are on their journey to create some pathbreaking ideas and inspiring others to do the same. #advaitawomenentrepreneurs #womeninbusiness #entrepreneurship #womenentrepreneurs #EmpowerWomen #womenleaders #businesswomen

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At Fortune’s Brainstorm Tech conference, an engaging discussion shed light on the evolving venture capital (VC) landscape. One of the key takeaways was the underscore of vibrant growth of the VC sector, with the number of firms soaring from 6,000 in 2013 to about 60,000 today. This surge in competition is driving VCs to innovate and refine their fundraising strategies, creating a dynamic environment for investment opportunities. Additionally, the session touched on how family offices provide flexible capital for smaller investments while emphasizing the thorough scrutiny required for larger funds. An emphasis on candid conversations among VCs and limited partners highlighted a commitment to fostering a more collaborative and forward-thinking investment community. Read More Here: https://lnkd.in/gHjJbtr3 Fortune Allie Garfinkle Branded Hospitality Ventures Hospitality Headline Newsletter #VentureCapital #Investment #hospitality #community Clara Shih Paulo Rosado #BrainstormTech Christine Moseley Rick Rose

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I've participated in 100+ conversations with venture fund LPs this year. The most frequently discussed topics include: Team dynamics Sourcing differentiation Decision-making and selection process Portfolio support Sector thesis Track record Model and deployment strategy Network Long-term vision Timing (why now) References Fund infrastructure and reporting

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Too many small and mid-sized businesses struggle with capital constraints out of fear and misunderstanding. Sourcing the capital required to remove those constraints is key to unlocking the value creation potential of these companies. https://lnkd.in/gRYTKEmN #smallbusiness #businesstransformation

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Board of Directors - insights from "The Essays of Warren Buffett" Buffett’s principles for Boards of Directors emphasize the importance of independence, accountability, and a focus on long-term shareholder value: - Long-Term Focus: Boards should act in the long-term interest of shareholders - Board Composition: Boards with mostly outside directors and select members for business savvy, not prominence or diversity (PE insight: CROs on the Board) - Regular Evaluation: Outside directors should meet without the CEO to assess performance True Independence: Directors must have equity in the company to align with shareholders' interests P.S. This is a very insightful book structuring Warren Buffett's shareholder letters by specific categories - here are the top summary takeaways from the rest of the book: Investment Discipline – Maintain patience and discipline, avoiding speculative investments and market timing Business Quality – Seek businesses with a durable competitive advantage Management – High-quality, trustworthy management & look for managers who think like owners Corporate Governance – Transparent communication and fair treatment of all stakeholders Risk Management – Avoid excessive leverage and maintain a margin of safety to minimize risk and preserve capital Fundamentals – Focus on fundamentals rather than market trends Economic Earnings – Focus on economic earnings and free cash flow rather than accounting profits for a true picture of financial health Long-Term Focus – Long-term investments and value creation vs. short-term gains Capital Allocation – Efficient capital allocation is key - reinvest earnings wisely Market Irrationality – Recognize and capitalize on irrationality as "Mr.Market" can be inefficient in the short term #investing #markets #business #stocks #finance #pe #ceo

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🚀 New Episode Alert: Investor Connect with Gary Forni, Chairman of CTAN 🚀 Join host Hall T. Martin for an insightful conversation with Gary Forni, the visionary Chairman of the Central Texas Angel Network (CTAN). With a storied career in technology and venture capital, Gary has been instrumental in shaping the startup ecosystem in Central Texas. 📅 Listen now: https://ow.ly/Po6Q50RBUJt 🔹 What to Expect: Gary's journey from Intel Corp to leading one of the most active angel groups in the U.S. An inside look at CTAN's investment strategy and how they're nurturing the next wave of disruptive tech startups. Expert advice on overcoming challenges in angel investing and adapting to economic changes. 📈 Under Gary's leadership, CTAN has invested over $129 million in 215 companies, driving innovation and economic growth. Learn how this network supports entrepreneurs with capital, mentoring, and more. 🎧 Tune in to "Investor Connect" for more expert insights into the investment landscape. Don’t miss it! #InvestorConnect #AngelInvesting #Startups #Innovation

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